SWOT Analysis of Intel Corp Essay

What growth strategies should Intel pursue based on information from the case? Strengths Intel has the largest market share all over the world and has a very strong brand value attached to it. Intel was the first company, which came up with the idea of microprocessor, and it has continued that legacy by making advanced changes in it with time. Most of the computers today have microprocessors and almost every brand which makes computers or laptops uses Intel Product.

Intel may have MAD as its competitor but still controls 80 percent of the market share which makes it a monopoly of sorts Intel Corporation has a loyal customer base and used strategic planning by giving discounts to its customers who would put its logo on their computers which helped spread the brand spread its name. It has invested a very heavy amount in its Research and Development department, which has played a very crucial role in the success of its brand value and extending its presence beyond the PC world.

Weaknesses Sometimes Intel comes up with a very technical strategy in response to its competitors, which is not easily understood, by most of the people. Intel position in the market saw a

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great steep earlier in 2000 because of the emergence of MAD. Intel saw a loss in the financial year of 2008 in terms of revenue I. E. They failed to meet their expected profit. They have taken the advantage of being a brand leader, by not taking benefits from economies of scale, and provide cheaper items to its consumers. Intel corporation might have reached a saturation point as its growth in past few years has been quite slow.

Intel should keep customers as their first preference and make changes on regular basis to meet the needs of their users. Market penetration and product development will be more than useful if they Ochs on their existing market. Related diversification would prove to be a huge a success for Intel if they focus on cellular or broadband portion As Intel is a highly innovative technology firm they can look outside the scope of microprocessor manufacturing.

Another growth opportunity for Intel could be looking into the TV and gaming world which is a huge industry today. As more and more innovative and smart TV’s are being manufactured Intel could Tie up with Brands like Samsung and LAG They can make partnerships with some of the other brands besides the PC world to make sure they rule the market in every possible way. Threats As the technology is increasing rapidly, the present manufacturing of current microchips might Just go to waste.

Customer taste might change and their preferences will shift to the other competitive products if they do not keep up with the innovation. Change in currency value makes it difficult for the company to come up with the perfect pricing strategy, which will benefit all (outsourcing of production). Some of its other strong competitors, which it should take into consideration is IBM . Market share becomes very hard to maintain with emergence of new and cheap local companies especially in China.